ICICI Securities
Symphony (Buy)
Buying range: ₹1,275-1,315
Target: ₹1,530
The price action over the past six months has been confined within an upward sloping channel (as shown in the chart) after witnessing buying demand from August 2015 lows of ₹825. We believe the last two week’s corrective decline has helped the stock to cool off the overbought situation of daily stochastic oscillator (currently placed at 3), thereby offering a fresh entry opportunity
On the weekly chart, the stock witnessed a faster retracement as it retraced the preceding five week’s decline in just a single week after retracing 38.2 per cnet of last major up move (₹815-₹1,450), at ₹1,208 signifying structural turnaround, arguing well for the next leg of the up move.
Going ahead, we expect the stock to resolve higher and eventually head towards ₹1,530 in coming months as it is 61.8 per cent retracement of April-October 2018 decline of ₹1,947-815), at ₹1,515.